Oneida County budget short $15 million says Executive Anthony Picente By Luke Perry
Oneida County Executive Anthony Picente said the county is facing a “totally different economic downturn on the government side than we’ve seen in the past.” The economy has taken dives before, as revenues lagged and services continued to be required, but “in this case, the services have been multiplied because of COVID,” including equipment, overtime, and P.P.E.
“People are not going out and spending money, and buying things, and going to dinner, vacations,” Picente told Talk of the Town (WUTQ in Utica), resulting in “sales taxes taking the first hit” and it “really takes a big one.”
Oneida County sales tax was growing in recent years, 4 to 5 percent in some quarters. Now the county has experienced a 33 percent sales tax reduction.
Photo from Oneida County
Picente said Oneida County is short approximately $15 million in the 2020 budget. Decreased sales tax revenue amounts to about $3 million, while additional pandemic related spending constitutes an additional $5 million is unanticipated spending.
The county’s portion of revenue from Oneida Nation’s Turning Stone Casino is down at least $7 million this year, under a best-case scenario. The casino reopened June 10 with new health guidelines, including mandatory face-masks for visitors and staff, social distancing, enhanced cleaning, a moratorium on concerts, and prohibiting visitors from beyond a 120 mile radius.
Picente recently told the Oneida County Legislature “borrowing money to pay your bills” is “the worst thing to do.” Picente also believes this is the “worst time to raise taxes” because “you have so many hundreds of people out of work.” A “20 percent tax hike” would be required, which is “something we’re not going to do,” Picente said.
Oneida County Legislature (WKTV)
Oneida County is providing early retirement incentives to approximately 130 employees who are 55 or older and were employed for at least 10 years.
“The incentive is that you’re getting rid of the people at the highest level of pay so you can bring in people at the lower level,” Picente said. “That’s a significant savings and that’ll help our budget” for three months of salary this year and then into 2021.
Picente does not anticipate all people will take the incentive, but believes it will help provide “a leaner and more efficient workforce.”
Luke Perry (@PolSciLukePerry) is Professor of Government at Utica College
